Product disclosure statement
and policy booklet
Strata Title
Insurance
NSWThank you for choosing
NRMA Insurance.
NRMA Insurance has been insuring Australians for over 85 years. And that’s the difference we offer
you – experience. It’s this experience that helps us provide you with great customer service as well
as quality cover to protect the things you value.
Plus, when you need us, we provide a simpler way to make a claim, so that you’re back on your feet
as quickly as possible.
This booklet contains information you need to know about your insurance policy. If you have any
questions, or if there’s anything we can help with, get in touch today.
132 132
STRATA TITLE
INSURANCE
SUPPLEMENTARY
PRODUCT DISCLOSURE STATEMENT
This Supplementary Product Disclosure Statement
(Supplementary PDS), updates and should be read with the Strata Title Insurance Product Disclosure Statement and Policy Booklet (PDS) Edition 1. These documents together with your current Certificate of Insurance make up the terms and conditions of your insurance contract with us.
SUPPLEMENTARY PDS 1.4
This Supplementary PDS Edition 1.4 updates and replaces Editions 1.1, 1.2 and 1.3. It will apply to policies with a commencement date or renewal date on or after 28 December 2015.
FLOOD COVER
This policy provides cover for loss or damage caused by flood. For example, heavy or sustained rainfall upriver causes a river or creek near you to overflow. The wording described below is inserted in Section 1 of the PDS – What you are covered for.
Flood
If the building or common contents suffer loss or damage caused by flood.
‘flood’ means the covering of normally dry land by water that has escaped or been released from the normal confines of any of the following: (a) a lake (whether or not it has been altered or modified); (b) a river (whether or not it has been altered or modified); (c) a creek (whether or not it has been altered or modified); (d) another natural watercourse (whether or not it has been altered
or modified); (e) a reservoir; (f) a canal; (g) a dam.
If we have identified that your building is prone to flooding, then: u we need to charge you a higher premium, or
u you can choose to vary your policy by removing flood cover. We will tell you if you are eligible to remove flood cover on your current Certificate of Insurance.
we will under the building sum insured
u rebuild or repair that part of the building that was damaged. we will under the common contents sum insured
u replace or repair the damaged common contents. however we will not cover
u loss or damage to: - retaining walls
- gates, fences or free standing walls if they are not structurally sound or well maintained
- pontoons, jetties or bridges - gravel driveways
- swimming pool/spa covers that are more than 5 years old u loss or damage caused by storm surge unless it takes place at the
same time as a flood which causes the same loss or damage to your building or common contents – see page 50 of the PDS for the storm surge definition
u loss or damage caused by flood, if your current Certificate of Insurance shows that you have chosen to remove flood cover. LIABILITY COVER (PAGE 10)
The amount we pay for liability cover on page 10 of the PDS has increased from $10 million to $20 million. The most we will now pay for any one incident, including legal costs, is $20 million (inclusive of GST). STORM (PAGE 11)
We have made some changes to what we cover for storm damage. The wording outlined under “Storm” on page 11 of the PDS is deleted and replaced by the following wording:
If the building or common contents suffer loss or damage caused by u a violent wind, cyclone or tornado
u a thunderstorm, hail, rain or snow
u a sudden, excessive run-off of water as a direct result of a storm in your local area.
however
u we will not cover loss or damage caused by flood – for details of flood cover see under “flood” in this Supplementary PDS u we will not cover loss or damage to:
- retaining walls
- gates, fences or free standing walls if they are not structurally sound or well maintained
- pontoons, jetties or bridges - gravel driveways
- swimming pool/spa covers that are more than 5 years old u we will not cover loss or damage caused by water which enters the
building through any tarpaulins or fixings set up while you’re renovating or altering your building.
WHAT YOU ARE NOT COVERED FOR – GENERAL EXCLUSIONS (PAGE 22)
As ‘flood’ is now covered by this policy, it is no longer a general exclusion. This exclusion has been deleted from page 22 of the PDS.
GLOSSARY (PAGES 48 TO 50)
The definition of ‘flood’ on page 49 of the PDS is deleted and replaced by the following definition:
FLOOD
means the covering of normally dry land by water that has escaped or been released from the normal confines of any of the following: (a) a lake (whether or not it has been altered or modified); (b) a river (whether or not it has been altered or modified); (c) a creek (whether or not it has been altered or modified);
(d) another natural watercourse (whether or not it has been altered or modified);
(e) a reservoir; (f) a canal; (g) a dam.
HOW TO RESOLVE A COMPLAINT OR DISPUTE (PAGE 37) The external dispute resolution scheme on page 37 of the PDS is now administered by the Financial Ombudsman Service Australia (FOS). Call 1800 367 287 or visit www.fos.org.au.
CHANGE OR CANCEL YOUR POLICY (PAGES 31 TO 33) We have increased the amount of cancellation fee applied when you cancel your policy from $20 (plus GST) to $30 (plus GST and Government charges).
Previously if you or we cancelled your policy and the amount of premium refund was less than $2, then we’d donate it to charity. We’ve removed references to this from pages 31 and 32.
We have added the following wording on page 31:
ADDITIONAL PREMIUM OR REFUND LESS THAN $15 When a change is made to your policy, you may need to pay us an additional premium or we may need to refund part of your premium. If the additional premium we need to charge you is less than $15, then we’ll waive it – that is, you don’t need to pay it. However, if the amount we need to refund is less than $15, then we’ll donate it to charity.
CHANGES TO YOUR PDS
Choose
what you
would like
to do
1
Find out how this policy works 3
Check what this policy covers 4–5
Taking out insurance 26
Find out about your premium 26
Change or cancel your policy 26
Check your rights and responsibilities 26
Make a claim 38
Find out about excess 38
Use the glossary 48
Use the index 51
3
3
How this
Strata Title
Insurance
policy works
Strata Title Insurance provides cover for loss or damage to the building or common contents, or both.
This policy provides cover for incidents listed on pages 6 to 14
the additional cover listed on pages 15 to 18 which applies when we pay a claim on the incidents listed on pages 6 to 14 If you decide to take out insurance with us, we will provide you with the cover you have chosen as described in this Product Disclosure Statement (pds) and Policy Booklet, plus any supplementary pds as well as your current Certificate of Insurance. Together, they set out the terms and conditions that apply to your Strata Title Insurance contract. Read them carefully and store them in a safe place.
What this
policy covers
Strata Title Insurance provides
cover against loss or damage to
the building and/or common
contents.
1
What you are covered for pageB C Animal damage 6
B C Earthquake 6
B C Explosion 6
B C Fire 7
B C Glass, ceramic and sanitary fixtures – unintentional breakages 8
B C Impact damage – falling, flying or moving objects 9
B Liability cover 10
B C Lightning 10
B C Oil – leaking or escaping 11
B C Riots, civil commotion, industrial or political disturbances 11
B C Storm 11
B C Theft or attempted theft 12
B C Vandalism or a malicious act 12
B Voluntary workers 13
B C Water – leaking or escaping 14
B C Helpline – 24 Hour Assistance 25
2
Buildings we will cover 193
Common contents we will cover 19KEY
B Building
5
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4
Cover provided in addition when we pay a claim pageB Debris – demolishing and removing 15
B C Electrical components – reconnection 15
B Landlords – loss of rent 16
B Locating the cause of damage 16
B Rebuilding – fees arising from 15
B C Renovating or altering the building 17
B C Temporary accommodation for owners 18
5
What you are not covered for pageB Buildings we will not cover 20
C What we do not consider to be common contents 20
B C Circumstances we do not cover 21
B C General exclusions 22
B C Liability exclusions 23
Animal damage
If the building or common contents suffer loss or damage caused by animals
we will under the building sum insured
rebuild or repair that part of the
building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notcover loss or damage caused by
• vermin, rodents or insects
• birds pecking, scratching or biting
• domestic cats or dogs, or • any other animal kept at the site.
Earthquake
If the building or common contents suffer loss or damage caused by an earthquake or a landslide or subsidence that happens immediately as a result of an earthquake
we will under the building sum insured
rebuild or repair that part of the
building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
Explosion
If the building or common contents suffer loss or damage caused by an explosion or a landslide or subsidence that happens immediately as a result of an
we will under the building sum insured
rebuild or repair that part of the
building that was damaged
we will under the common contents
sum insured
however
there must be physical evidence
of the explosion
we will not pay to repair or replace
W H AT Y O U A R E C O V E R E D F O R P O L I C Y
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Fire
If the building or common contents suffer loss or damage caused by fire
we will under the building sum insured
rebuild or repair that part of the
building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notcover loss or damage as a result of fire started with the intention of causing damage by persons
• who live in the building, or
• who have entered the building or site with your consent, or the consent of a person who lives in the building
we will notcover loss or damage as a result of scorching or melting
• where there was no flame, or
• where the building/common contents did not catch fire
we will notcover loss or damage to any heat or fire-resistant item if it self-combusts.
Glass, ceramic and sanitary fixtures
– unintentional breakages
If there is a fracture that extends through the entire thickness of any
• fixed glass in a window, door, sky-light, shower screen, balcony or pool fence, permanent light fixture, solar heating panel or fixed glass panel
• ceramic cooktop or oven door • vitreous china or acrylic or fibreglass
fixed shower base, bath, spa bath, basin, sink, toilet, bidet or sanitary fixtures
we will under the building sum insured
replace or repair the item
however
we will notcover
• any breakage as a result of the direct application of heat
• glass in a greenhouse or glasshouse
• water or sewerage pipes, or
• items that are already damaged.
If there is a fracture that extends through the entire thickness of any fixed glass in
• furniture • a light fitting
• a mirror or picture
we willunder the common contents
sum insured
replace or repair the glass replace or repair the damaged
frame of a mirror or picture if it is also damaged by the incident
however
we will notcover glass that was already damaged
we will notcover glass that is in
• a television set, radio or visual display unit
• computer equipment or a scanner,
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Impact damage – from falling,
flying or moving objects
If the building or common contents suffer loss or damage caused by the impact of
• an external aerial, mast, flagpole or satellite dish
• an aircraft, vehicle or watercraft • debris from space, or an aircraft,
rocket or satellite • a branch or tree
If we agree it is necessary to cut down the tree on your property that caused the damage, then
we will under the building sum insured
pay the cost of cutting down
and removing the tree
treat the stump so it will not
grow again
however
we will notpay to remove the stump
we will notpay the cost of cutting down or removing the tree if it has not caused any damage to the building or common contents.
we will under the building sum insured
rebuild or repair that part of the
building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notcover loss or damage caused by tree cutting, felling or lopping a tree on the site.
9
Liability cover
If an incident occurs during the term of your Policy which causes
• death or bodily injury to other people, or
• loss or damage to other people’s property
we will
pay up to $10 million
(inclusive of gst)
cover you for amounts which you
become legally liable to pay as compensation for claims arising from an incident which occurs during the term of your Policy
• in the building or on the site for which you are responsible as owner of the building or site
cover legal costs when our lawyers
act in connection with these claims
however
the most we will pay in relation
to any one incident is $10 million (inclusive ofgst)
• any legal costs we pay in relation to a liability claim are over and above the $10 million (inclusive
ofgst).
To check what this Policy does not cover see What you are not covered for, pages 20 to 24 If someone is making a liability claim against you, see page 40
Lightning
If the building or common contents suffer loss or damage caused by lightning
we will under the building sum insured
rebuild or repair that part of
the building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
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38 48
Oil – leaking or escaping
If the building or common contents suffer loss or damage caused by oil leaking from a fixed heating system in the building or on the site
we will under the building sum insured
rebuild or repair that part of
the building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notreplace or repair the item that the oil leaked or escaped from
we will not pay to locate the cause of damage unless we have agreed to the costs beforehand.
Riots, civil commotion, industrial or
political disturbances
If the building or common contents suffer loss or damage caused by any riot, civil commotion, or industrial or political disturbance
we will under the building sum insured
rebuild or repair that part of
the building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notcover loss or damage after the first consecutive 72 hours of a riot, commotion or disturbance being declared.
Storm
If the building or common contents suffer loss or damage caused by • a violent wind, cyclone or tornado • thunderstorm or hail which may be
accompanied by rain or snow, or
• a sudden, excessive run-off of water as a direct result of a storm in your local area
we will under the building sum insured
rebuild or repair that part of
the building that was damaged
rebuild or repair that part of any
gate, fence or free-standing wall that was damaged by wind, unless
• they were not kept in good order and repair, that is, they were not structurally sound or well maintained
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notcover loss or damage caused by flood
however under the building sum insured
we will notcover loss or damage caused by stormto retaining walls, or
when water enters through an opening that was not created by the storm.
Theft or attempted theft
If the building or common contents suffer loss or damage caused by theft or attempted theft
we will under the building sum insured
rebuild or repair that part of
the building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notcover loss or damage as a result of theft or attempted theft by persons who
• live in the building, or
• have entered the building or site with the consent of a person who lives in the building.
Vandalism or a malicious act
If the building or common contents suffer loss or damage caused by vandalism or a malicious act
we will under the building sum insured
rebuild or repair that part of
the building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notcover loss or damage as a result of vandalism or a malicious act by persons who
• live in the building, or
• have entered the building or site with your consent or the consent of a person who lives in the building.
Voluntary Workers –
Death and injury benefits
If a person is engaged in unpaid voluntary work on the site and an incident causes
• the death of the voluntary worker • a specific injury to the voluntary
worker
• an injury to the voluntary worker that results in loss of earnings within 2 years of the incident
we will pay the voluntary worker
$40,000 for the following specific
injuries
• death
• quadraplegia
• paraplegia
• loss of both eyes or the total loss of sight in both eyes
• loss of both hands or both feet
• loss of one hand and one foot, or
• any combination of the above
$20,000 for the following specific
injuries
• loss of one eye or the sight in one eye
• loss of one hand, or
• loss of one foot
up to a maximum of $400 per week
for 26 weeks if they are unable to resume their paid employment
however
we will NOT cover any
• amount payable under a Medicare benefit or any other registered health benefits organisation
• fee or charge in relation to the provision in Australia of ambulance fees, hospital treatment or medical expenses as defined by the Health Insurance Act 1973 (Cth) or ancillary health benefits as defined by the National Health Act 1953 (Cth)
• claim for injury arising from suicide, self-inflicted injury or any attempted suicide or self-inflicted injury
• claim for injury because the voluntary worker was under the influence of alcohol or any drug
for loss of earnings we will NOT cover
any
• voluntary worker who was not earning a wage at the time of the incident
• loss of earnings to the voluntary worker during any period where they are entitled to receive any sick pay or workers compensation benefit even if they do not claim it.
The most we will pay for voluntary workers is $40,000 (inclusive of GST) in one policy year
13
W H AT Y O U A R E C O V E R E D F O R P O L I C Y
Water – leaking or escaping
If the building or common contents suffer loss or damage caused by water leaking or escaping from • pipes
• road gutters or kerbing • building gutters or drainpipes • baths, sinks, toilets, basins or any
other fixed plumbing apparatus • washing machines, dishwashers • refrigerators, heating or cooling systems with a water dispenser
we will under the building sum insured
rebuild or repair that part of
the building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will notcover loss or damage caused by water leaking or escaping from any:
• shower recess or shower base • stormwater channel or canal
• stormwater pipe off the site, or
• inadequate draining systems
we will notrepair or replace the item that the water leaked or escaped from
we will notpay to locate the cause of damage unless we have agreed to the costs beforehand.
Demolishing and removing debris,
Fees arising from rebuilding
If as a result of an incident described on pages 6 to 14 you need to
• demolish and remove the debris • pay for fees arising from rebuilding
we will under the building sum insured
pay the reasonable costs of
• demolishing and removing debris from the building
• employing an architect, engineer or surveyor in connection with rebuilding or repairing your home
• meeting the requirements of a statutory authority
however
you must advise us and we must
agree to pay the costs before they are incurred
the costs must relate directly to the
part of the building that suffered the loss or damage
we will notcover these costs if
• that part of the building which needs repairing or rebuilding is an illegal construction
• a statutory authority served a notice on you before the incident occurred.
Electrical components
– reconnection
If an electrical appliance is damaged in an incident described on page 8 under Glass, ceramic and sanitary fixtures – unintentional breakages, and we have agreed to pay your claim
we willunder the building sum insured, or
under the common contents sum insured
pay the reasonable cost of
reconnecting any electrical components to the damaged item.
15
A D D I T I O N A L C O V E R P O L I C Y
Landlords – loss of rent
If any owner is a landlord and as a result of an incident described on pages 6 to 14 their tenants cannot live in their rental property while it is being repaired or rebuilt, and we have agreed to pay your claim
we will
pay the rent any owner loses
this payment is over and above the building sum insured
however
we will only pay
• if we agree their tenants cannot live in the building
• rent for up to 12 months, or the rent any owner loses during a reasonable time taken to rebuild or repair the building, whichever is the smaller amount.
Locating the cause of damage
If as a result of an incident described on pages 6 to 14 you need to
• locate the cause of damage
we will under the building sum insured
pay up to $5,000 to
• locate the cause of any damage if it is not known
however
you must advise us and we must
agree to pay the costs before they are incurred
the costs must relate directly to the
part of the building that suffered the loss or damage
we will notcover these costs if
• that part of the building which needs repairing or rebuilding is an illegal construction
• a statutory authority served a notice on you before the incident occurred.
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A D D I T I O N A L C O V E R P O L I C Y
Renovating or altering the building
If the building or common contents suffer loss or damage as a result of an incident described on pages 6 to 14 while you are renovating or altering the building, and we have agreed to pay your claim
we will under the building sum insured
rebuild or repair that part of the
building that was damaged
we will under the common contents
sum insured
replace or repair the damaged
common contents
however
we will NOT cover
• storm or water damage caused when the interior of the building is left exposed to the elements, or your tarpaulins or fixings fail
• loss or damage to the building or common contents as a direct result of the renovations or alterations
• your responsibility to pay compensation for
– death or bodily injury to other people
– loss or damage to other people’s property
that arises out of renovations or alterations to the building costing $50,000 or more (inclusive of GST).
Temporary accommodation –
owners that cannot live in their part
of the building
If any owner lives in the building permanently but as a result of an incident described on pages 6 to 14 they cannot live in their part of the building, and we have agreed to pay your claim
we will
pay for temporary accommodation
that we agree is reasonable and appropriate for the owner, their family and their pets
pay for any additional living expenses
that we agree are appropriate
pay for removing and storing the
common contents of the building and then returning them to the building
pay for removing and storing
the owners’ contents and then returning them to the building
we will pay these costs over and above the building sum insured
however
we will only pay these costs
• for up to 12 months from the time of the damage, or for the reasonable time it takes to rebuild or repair that part of the building that was damaged, whichever is shorter
• if the owner lives in the building permanently
•if we agree that the owner cannot live in their part of the building
19
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W H AT W E W I L L C O V E R P O L I C Y
Buildings –
what we will cover
We cover the building(s) at the site, which are subject to a strata scheme registered under the Strata Schemes Management Act 1996 (NSW), and are used exclusively for domestic purposes
we will
rebuild or repair that part of the
building that was damaged as a result of an incident described on pages 6 to 14.
Your buildings are
the building including any building
improvements
any outbuildings, walls, gates, fences,
swimming pools, carports and garages
fixed coverings to walls, floors and
ceilings
floating floors
any permanent landscape features.
This does not include trees, shrubs, soil or any natural bushland
fixtures, including built-in furniture
and kitchen cupboards.
See page 20 for buildings that we will not cover
Common contents –
what we will cover
Common contents are any of the following items in common areas at the site which you own or for which you are legally responsible
we will
repair or replace the common
contents in the building or on the site that suffer loss or damage as a result of an incident on pages 6 to 14.
Items that we consider to be common contents are
furniture and furnishings carpets
paint, wallpaper, temporary wall, floor
or ceiling coverings
light fittings
curtains and internal blinds portable domestic appliances domestic maintenance equipment.
See page 20 for items that we do not consider to be common contents
What you are not covered for –
buildings that we will NOT cover
we will NOT cover
boarding houses or hostels hotels or motels
commercial buildings exhibition or display homes commercial farm buildings buildings that contain a lift
buildings more than 4 storeys high
(including any basement parking)
buildings that are not solely used
for residential purposes.
The building does not include owners’ paint or wallpaper and
temporary wall, floor or ceiling coverings.
We do not consider floating floorboards to be temporary
fittings, which are any items that can
be removed from the building without causing damage to the building
items that we consider to be common
contents.
See page 19 for items that we consider to be common contents
What you are not covered for –
items that we do NOT consider
to be common contents
we will NOT cover
animals
plants, trees or shrubs growing
in the ground, grass, rocks, landscaping and soil on the site
building materials or fixtures at your
site due to be fitted to the building
items which are part of the building
we will NOT cover
watercraft, sailboards, trailers, caravans,
aircraft or aerial devices
vehicles including
• motor vehicles
• motorcycles
• ride-on vehicles such as motorised golf buggies or carts, unless
21
38 48
What you are not covered for –
circumstances we do not cover
There are certain circumstances when you will not have cover under your Policy
To check what your responsibilities are see Your ‘Duty of Disclosure’ on page 33 and Your responsibilities on page 41
General exclusions
These apply to all cover under your Strata Title Insurance policy.
See page 22 for details of the general exclusions
Liability cover exclusions
These apply to the liability cover under your Strata Title Insurance policy. These are in addition to the general exclusions.
See page 23 for details of the liability cover exclusions
Other exclusions
Even if the building or common contents suffer loss or damage caused by an incident listed on pages 6 to 14 there are some circumstances where you will not be covered. These are in addition to the general exclusions.
See pages 6 to 14 for details of listed incidents and when we do not cover them
Things that may put your claim or cover at risk
You may put your insurance claim or cover at risk if you do not meet your obligations to us.
See page 24 for a list of things that may put your claim or cover at risk
What you are not covered for
– general exclusions
we will NOTcover
loss, damage, injury or death that
occurs as a result of
• flood
• wear, tear, rust, corrosion,
deterioration or erosion
• depreciation
• the action of the sea, high water or tidal wave, unless
the loss or damage is the result of a tsunami
• storm surge – the increase in sea level that usually occurs with an intense storm or cyclone
• atmospheric conditions or extreme temperature
• vermin, rodents or insects
• birds pecking, scratching or biting
• subsidence or landslide unless it happens immediately following an earthquake or explosion
• toxic mould
we will NOTcover
loss, damage, injury or death that
occurs as a result of
• any war – whether it is formally declared or not – or hostilities or rebellion
• the lawful seizure, confiscation, nationalisation, or requisition of your home or anything else covered by this Policy
• faulty design or workmanship
• pollutants or contaminants that discharge or escape
• any act of terrorism that involves any biological, chemical, or nuclear pollution or contamination
Continued next column
we will NOT cover
fusion of electric motors
goods kept for sale or distribution or
on display, exhibition or consignment
loss or damage intentionally caused
by you or a person acting with your consent
mechanical, structural or electrical
failure of an item
the use of any lift, hoist, elevator,
escalator or inclinator
the building or common contents
where a special condition has been imposed on your Policy that excludes or restricts cover.
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W H AT Y O U A R E N O T C O V E R E D F O R P O L I C Y
What you are not covered for
– liability cover exclusions
we will NOT cover
you if
• the incident that occurred was not during the term of your Policy
• liability arises only because you have
agreed to accept liability for the claim
• liability arises from death or bodily injury to any person employed by you under a contract of service, and
you are required by law to hold compulsory workers compensation insurance to cover that liability
Continued next column
we will NOT cover
you if liability arises or results from
• any intentional act or omission by you or a person acting with your consent
• any act or omission by you or a person acting with your consent which demonstrates a reckless disregard for the consequences of that act or omission
• a deliberate and unlawful act by you or a person acting with your consent
• any business, trade or profession, unless the only income received by owners is rental income from renting the building or any part of the building for domestic purposes
Continued next column
we will NOT cover
you if liability arises or results from
• using or owning a vehicle, aircraft or watercraft
• erosion, subsidence or landslide
• tree lopping or tree felling on the site
• tree roots
• the building or the site being used for the purpose of farming
• the presence of asbestos in the building or on the site
• building work being carried out by you at the building or at the site and the value of the building work is $50,000 or more
an incident caused by an animal
unless
• it is a dog, cat or horse kept as a pet in the building or on the site
an incident caused by a dog if a
relevant authority has declared it to be a dangerous dog.
Things that may put your claim
or cover at risk
You may put your insurance claim or cover at risk if you do not meet your obligations to us. We may refuse a claim, cancel your Policy, or do both
if you
are not truthful and frank in any
statement you make in a claim or in connection with a claim
do not take all reasonable care to
protect the building and common contents against loss or damage
do not maintain the building in good
repair and condition. This means the building must be watertight, structurally sound, secure and well- maintained
make admissions, settle or attempt to
settle or defend any claims without our agreement. Only we have the right to make admissions, settle claims and defend you
do not give us prior written
notification that you are
• demolishing the building
• carrying out building work leaving only the shell of the building intact building a new building on the site
if you
do not immediately make a report to
the police when you suspect or should have suspected that
• something has been stolen from the building or site
• someone has acted maliciously or vandalised the building, the site or something in it, or
• an attempt has been made to do either of these things
illegally keep explosives, flammable or
combustible substances or liquids in the building or on the site
leave the entire building unoccupied for
60 consecutive days or more and do not maintain it in a lived-in state by
• keeping the lawns mowed and garden tidy
• stopping regular mail and newspaper deliveries, and
• organising someone to check inside and outside the building at least once a week
25
38 48
H E L P L I N E P O L I C Y
Helpline 132 900
– 24 Hour assistance
Helpline is a telephone service that provides assistance and advice 24 hours a day, 7 days a week.
You need to contact us BEFORE using any of the services or benefits that Helpline offers.
Help at your home
We can help you over the phone with maintenance or repair problems by
arranging for a qualified tradesperson
to give you expert advice and assistance over the phone
arranging for a reliable tradesperson
to give an estimate of the likely repair costs.
Travel help
If you are away from home in Australia we will arrange access to a phone service which gives assistance with
travel advice and directions
booking accommodation or making
changes to your travel arrangements
organising the transfer of your funds or
clothing in the event of an emergency
cancellation of credit and account
access cards
reissuing lost or stolen tickets emergency messages.
Continued next column
Help with illness or injury
If you suffer an illness or are injured while you are away from home in Australia we will
arrange for you to talk to a trained
nurse or doctor, by phone, who may
• refer you to a local doctor or medical facility
• monitor medical treatment while in hospital
• communicate with relatives or friends on behalf of the ill or injured person
• arrange and pay up to $1,000 (inclusive ofgst) for trauma counselling, if we agree it is required
however
we do not cover
any fees, charges or costs, except
for trauma counselling up to $1,000 (inclusive ofgst).
Taking out
insurance
How to calculate your sum insured page
Calculating the building sum insured 27
Calculating your common contents sum insured 28
Find out about your premium
How we work out your premium 28
How to pay your premium 29–30
Change or cancel your policy
21 day cooling-off period 31
You want to make changes to your policy 31
You want to cancel your policy 31
We want to cancel your policy 32
We want to give you written notice 32
You are required to provide prior written notification 32
Special conditions 33
Check your responsibilities
Your ‘Duty of Disclosure’ – what you must tell us 33
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27
Calculating the building
sum insured
The Strata Schemes Management Act 1996 (NSW) (‘the Act’) is the legislation that governs strata title insurance in NSW. The Act states that you must:
• have the building valued every 5 years, and
• insure the building for its full replacement value.
Check that you have the cover you need by making sure the sum insured reflects the current replacement value of the building, at today’s prices. You can adjust your sum insured at any time during the year.
1 Do NOT include your land value
The replacement value of the
building does not include the value of the land it is on, or of any of the land that makes up your property. Do not include it in your calculations.
Go to 2
2 Include any improvements
The replacement value of the building
should include the structure and any improvements in or around the building that will increase the cost to rebuild or repair it.
Go to 3
3 Add the building surrounds
The building’s value includes all
the other structures and external fixtures on the property which make up the building environment, such as garages, swimming pools, fences, paths, clothes hoists, gates, fixed landscaping and sheds.
Go to 4
4 Add any luxury fixtures
Include the cost of repairing
or replacing any luxury fixtures such as gold taps, granite or marble benchtops and floors.
Go to 5
5 Include other costs associated with rebuilding or repairing
The replacement value of the
building should include the likely cost of removing debris, the cost of employing an architect, engineer or surveyor, and the costs associated with rebuilding on a remote site, a site with a slope or difficult access.
Go to 6
6 Calculate your total sum insured
Add all the items together to arrive
at the building sum insured.
The building sum insured will be shown on your Certificate of Insurance
Calculating your common contents
sum insured
Check that you have the cover you need by making sure the sum insured reflects the current replacement value of your common contents. Remember, it is your responsibility to make sure the sum insured reflects the replacement value of your common contents at today’s prices. You can adjust your sum insured at any time during the year.
See pages 19 and 20 for details of what we consider and what we do not consider to be common contents
How we work out your premium
Your premium is based on how much risk it is for us to insure you. If you have a low risk of claiming then you will pay lower premiums than customers who have a high risk of claiming.We assess the risk levels of individual cases using ‘rating factors’ based on
We calculate your premium using
the following risk or rating factors • the address of the building
• the sum insured
You can reduce your premium by
paying annually instead of in monthly
instalments
however, the total cost will also include
any levies, applicable government
taxes, such as gst, duties or charges.
See your current Certificate of Insurance for the total amount
38 48
29
Paying your premium –
annually or monthly
When you pay your premium
annually – and your annual payment
is dishonoured or not received by the due date noted on your current
Certificate of Insurance
then
this Policy will not operate and you will
not be covered if you make a claim.
by monthly instalments – and you
are paying your premium for the first time
we will deduct the first 2 monthly
instalments on the first due date specified in your current Certificate of Insurance. We regard this payment as the very first monthly instalment and then all other monthly instalments will be deducted on the remaining due dates specified in your current
Certificate of Insurance. These are the due dates for each instalment.
If a date specified in your current
Certificate of Insurance is not a business day we will deduct the relevant instalment on the next business day.
by monthly instalments – and the
very first monthly instalment
• is dishonoured on its due date, or
• is rejected on its due date, or
• is otherwise unable to be deducted by us from the nominated credit card or account on its due date, or
• is not received by the due date noted on your current Certificate of Insurance
this Policy will not operate and you will
not be covered if you make a claim.
You can pay your premium • annually – in one lump sum by
cash, cheque, credit card, BPAY or EFTPOS
• by monthly instalments by direct debit from your credit card or bank, credit union or building society account. The option to pay your premium by monthly instalments may not always be offered to you.
The total of your monthly payments may be more than if you had paid annually
continued
Paying your premium –
annually or monthly
When you pay your premium
by monthly instalments – and you are
renewing your Policy
then
we will deduct the first monthly
instalment on the first due date specified in your current Certificate of Insurance and then all other monthly instalments will be deducted on the remaining due dates specified in your current Certificate of Insurance. These are the due dates for each instalment. If a date specified in your current
Certificate of Insurance is not a business day we will deduct the relevant instalment on the next business day.
by monthly instalments and any
instalment other than the very first monthly instalment
• is dishonoured on its due date, or
• is rejected on its due date, or
• is otherwise unable to be deducted by us from the nominated credit card or account on its due date, or
• is not received by the due date noted on your current Certificate of Insurance
if the monthly instalment remains
unpaid for 14 days or more after its due date we will refuse a claim for incidents that occur 14 days or more after the due date
if the monthly instalment remains
unpaid for 1 month after its due date we will cancel your Policy from midnight on the last day of that 1 month period.
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31
T A K I N G O U T I N S U R A N C E
21 day cooling-off period
You have a cooling-off period that allows you to cancel your Policy within 21 days of it being issued.
You can do this by notifying us within 21 days of your Policy being issued.
if you do, we will
give you a full refund of the
premium you have paid
however
your cooling-off right does not apply
once you make a claim under your Policy.
You want to make changes
to your Policy
If you want to change your Policy or any details of a proposed contract
we will
make the change if we agree
however
you need to contact us first you need to pay us any additional
premium we ask for
we need to issue you with another
current Certificate of Insurance.
You want to cancel your Policy
If you want to cancel your Policy with uswe will
deduct an amount from the
premium you paid that covers
• the period that you have been insured for, and
• a $20 cancellation fee, and • any relevant government charges
that may apply in your state
then pay you what is left of
the premium
however
you must contact us first
if the amount of premium refund is less
than $2.00 we will donate it to charity, unless you tell us to pay it to you
if you are paying your premium by
monthly instalments, you must pay us any unpaid monthly instalments due and our cancellation costs.You authorise us to deduct these amounts by way of direct debit from the account or credit card you have previously nominated for monthly instalment deductions.
We want to cancel your Policy
If we want to cancel your Policy, for a reason other than non-payment of a monthly instalmentwe will
provide you with written notice Details of how we give you written notice are in the section below on this page refund your unused premium after
deducting an amount that covers the period that you have been insured for
however
if the amount of premium refund is less
than $2.00 we will donate it to charity, unless you tell us to pay it to you
if you are paying your premium by
monthly instalments, you must pay us any monthly instalments due but unpaid. You authorise us to deduct these amounts by way of direct debit from the account or credit card you have previously nominated for monthly instalment deductions.
We want to give you written notice
If we need to provide you with any written noticewe will
deliver it personally, or send it to your last known
address, or
deliver it by fax or electronically
where it is permitted by law.
When you are required to provide
prior written notification
33
Special conditions
we may impose special condition(s) on your
Policy that may exclude, restrict or extend cover for a
•specified matter(s), or
•person(s)
if we do this
the special conditions will be noted
on your current Certificate of Insurance under the heading Special Condition(s)
this may also impact on your premium,
excess or result in a special excess being imposed.
Your Duty of Disclosure – what
you must tell us
When you take out or renew a policy with us you have an obligation to answer our questions truthfully, and provide us with any information that could reasonably affect our decision to insure you. This is called your Duty of Disclosure.
When you answer our questions
we will use the answers in deciding
whether to insure you and anyone else to be insured under the policy, and on what terms
you must answer honestly
you are answering for yourself and
for anyone else that you want to be covered by the policy
you have a responsibility to tell
us anything known to you, and which a reasonable person in the circumstances would include in answer to our questions
however
if you do not answer our questions
in this way
•we may reduce a claim,
•refuse to pay a claim, or
•cancel the policy
if you answer our questions
fraudulently
•we may refuse to pay a claim and treat the policy as never having been in place.
T A K I N G O U T I N S U R A N C E
The General Insurance Code
of Practice
The purpose of the Code is to raise the standards of practice and service in the general insurance industry.
The objectives of the Code are
to promote better, more informed
relations between insurers and their customers
to improve consumer confidence in
the general insurance industry
to provide better mechanisms for
the resolution of complaints and disputes between insurers and their customers, and
to commit insurers and the
professionals they rely upon to higher standards of customer service.
Our commitment to you
We have adopted and support the Code and are committed to complying with it.
38 48
Privacy of your personal information
We are committed to handling your personal information in accordance with the Privacy Act.We need to collect, use and disclose your personal information in order to consider your application and to provide the cover you have chosen. You can choose not to give us some or all of your personal information, but this may affect our ability to provide you with cover.
When you provide your personal information to us
you acknowledge and consent to us
collecting and using your information
• to consider your insurance application and any subsequent application for insurance
• to underwrite and price any policy issued by us or our related entities
• to issue you with a policy
• to administer the policy
• to investigate, assess and pay any claim made by or against you
and for these purposes, you
acknowledge and consent to us collecting your personal information from, and disclosing it on a
confidential basis to
• our related entities
• our distributors
• nrma Motoring & Services* (nsw/
act customers only)
• other insurers
• insurance reference bureaus
• law enforcement agencies
Continued next column
• suppliers retained by us to supply you with goods or services
• any credit provider that has security over your property
• investigators and recovery agents
• lawyers
• assessors • repairers
• advisers, and/or
• the agent of any of these.
When you provide personal information to us about another person
you must be authorised to do so, and you must inform that person, unless
informing them would pose a serious threat to the life or health of any individual
• who we are,
• how we use and disclose their information, and
• that they can gain access to that information.
* NRMA Motoring & Services is the trading name of National Roads and Motorists’ Association Limited ABN 77 000 010 506, a separate and unrelated company.
35
Privacy of your personal information
– marketing purposes
Your personal information helps us to provide you with a range of leading insurance products and services. We may also use your personal information to offer you additional products and services.
How we handle your personal information is explained in our Privacy Charter.
When you provide your personal information to us
you acknowledge and consent to us
collecting and using your personal information on a confidential basis to
• contact you for market research
• provide you with information and offers about products and services we offer
• provide you with information and offers about products and services offered by nrma
Motoring & Services* and its related entities (nsw/
act customers only), our related entities and by other organisations and to any agent of these that we promote.
you acknowledge and consent to us
disclosing your personal information on a confidential basis for these marketing purposes to
• our related entities
however
you must inform us if you do not want
your personal information disclosed or used for these
marketing purposes.
See back cover for contact details
* NRMA Motoring & Services is the trading name of National Roads and Motorists’ Association Limited ABN 77 000 010 506, a separate and unrelated company.
Privacy of your personal information
– our Privacy Charter
How we handle your personal information is explained in our Privacy Charter.
Our Privacy Charter includes information on
how to contact us regarding
information on privacy
how to change, cancel or re-activate
your marketing consent
how to access your personal
information.
To get a copy of our Privacy Charter
visit our website to view a copy, or pick
up a copy at any of our offices.
See back cover for contact details
How to resolve a complaint or dispute
1
Talk to us first If you have a complaint, the first
thing you should do is speak to one of our staff.
If your complaint relates
specifically to a claim, speak with the claims officer managing your claim.
See back cover for contact details If the staff member or claims
officer is unable to resolve the matter for you, you may speak to a manager.
If you are not satisfied with our response you can go to step 2
2
Seek a review If the matter is still not resolved
the manager will refer you to the relevant dispute handling department or area which will conduct a review of your dispute.
If you are still not satisfied with our response to your dispute you can go to step 3
3
Seek an external review You are entitled to seek an external
review of our decision. We will provide you with information about option(s) available to you, including, if appropriate, referring you to the external dispute resolution
scheme administered by the Insurance Ombudsman Service Limited (ios).
Further information about our complaint and dispute resolution procedures is available by contacting us.
See back cover for details.
T A K I N G O U T I N S U R A N C E
37
T A K I N G O U T I N S U R A N C E
Claims
Making a claim page
How to make a claim 39
What you must tell us 39
Proof of loss and ownership 40
Reporting a theft, vandalism or malicious act
to the police 40
Inspections and quotes 40
If you are in a business 41
Your responsibilities 41
Excess 42
If someone makes a liability claim against you 40
Settling claims
Settling claims - building 43
Settling claims - common contents 44
When we pay you the sum insured 45
Carpet, vinyl or floorboards 46
How to make a claim
If the building or common contents suffer loss or damage call us immediately, 24 hours a day, 7 days a week.
See back cover for contact details
we may
ask you a series of questions or ask
you for detailed written information
give you immediate advice and
assistance with your claim
organise help through our preferred
repairers and suppliers
appoint a case manager who will help
you through the process
tell you if you need to pay an excess
and how to pay it
To find out what your excess is see your current Certificate of Insurance
however
you may wish to check that your Policy
covers you for your claim before calling us.
To check what this Policy covers see pages 4 to 5 of this Product Disclosure Statement and also check your current Certificate of Insurance.
To check what this Policy does not cover see What you are not covered for pages 20 to 24
What you must tell us
We need information from you before we can process your claim.
you must
promptly pass on all information
about the claim to us
• remember that a claim made by any one of the persons named as the insured is a claim made by all of them
pass on any additional information
that we request
otherwise
we will be unable to process
your claim.
39
C L A I M S
Proof of loss and ownership
When you make a claim you need to provide us with proof of loss and ownership
you may need to
provide proof of ownership for any
claimed item
produce receipts, valuations, model
and serial numbers
provide proof of the value of the
items being claimed
otherwise
we may not pay you for the item.
Reporting a theft or attempted
theft, vandalism or malicious act
to the police
you must
immediately report to the police
any theft or attempted theft, vandalism or malicious act and keep the incident report number they give you
otherwise
we may not pay you.
For descriptions of theft and attempted theft, see page 12
For descriptions of vandalism and malicious act, see page 12
Inspections and quotes
When you make a claimwe may
need to inspect the building or
common contents before we can make a decision about your claim
require a quotation from a repairer
or supplier we nominate
however
in some instances we may need
more than one quote and require you to provide additional quotations from different repairers or suppliers.
38 48
If you are in a business
If you are in a business registered or required to be registered for GST purposes, and you want to make a claim
we require
your Australian Business Number
(abn)
the percentage of input tax credit
you have claimed or are entitled to claim on the premium you have paid
if we do require a percentage of input tax credit, then
if you were to incur the cost claimed
we will reduce any amount we pay under a claim by an amount equal to your input tax credit entitlement
• this applies to any amount
we pay, including where we state that an amount will include gst
any payment in relation to a sum
insured or limit of cover will be considered to be made in full even if the amount we pay has been reduced as described above.
Your responsibilities
You have a responsibility to co-operate fully with us, even if we have already paid your claim
you must
provide us with all the information,
documents and help we need to deal with your claim
immediately send us any letters,
notices or court documents that you receive about any incident which has resulted or could result in a claim against you
• otherwise we may not be able to defend you against claims made by others for any incident
For a list of other things that may put your claim or cover at risk, see page 24
we may
require you, or any person covered by
your Policy to be interviewed by us
require you, or any person covered by
your Policy to give evidence in court
attempt to recover the amount we
have paid to you from someone else, if we find they are responsible for your loss or damage. If so, we will do this in your name
defend you if it is alleged that you
caused someone else loss, damage or injury.
